M O R I TA R E P O R T 2 0 1 5

To Shareholders and Investors
I n t e r i m B u s i n e s s R e p o r t f o r t h e 8 3 r d Te r m
From April 1, 2015 to September 30, 2015

INTERSCHUTZ 2015
International Trade Fair at Hannover, Germany

Securities Identification Code: 6455

Morita Topics
The development and the start of the sale of “Advanced Monitor”– Advanced Driver Assistance System to enhance safety
As emergency vehicles fire trucks need not only to reach theaccident scene quickly but also to ensure that the safety ismaintained while driving and during the operations at anemergency site.
Morita has developed and started the sale of “Advanced Monitor”– Advanced Driver Assistance System to enhance safety. Thesystem gives the driver a 360° panoramic bird’s eye view fromabove the fire truck and eliminates blind spots which helps
prevent various potentially dangerous collisions that may occur
when making turns, starting, stopping and parking the vehicle.
Fire trucks also carry various fire fighting and rescue equipment.
The system allows the driver to check easily from the driver’s seat
if storage compartment doors and/or ladder steps are open or
close and if equipment like rescue cranes and lighting equipment
has been properly stored or not. The system warns if anyequipment is not adequately secured and helps prevent theaccidents.
The system can be equipped with a drive recorder as an option.
Morita exhibited this “Advanced Monitor” at the world’s largest
international trade fair for public safety “INTERSCHUTZ 2015”
held in Germany in June this year and was highly praised as asystem newly designed by Morita to enhance safety of people andcities.
In future, for further safety enhancement, this system will also be
installed on other Morita Group products like environmental
conservation and sanitation vehicles.

<Panorama view>01

M O R I TA R E P O R T 2 0 1 5<Rear view>

Start of sales of the New Model “Rotary Electric
Extrusion Garbage Collector E-SVN”
Morita Econos started selling the new model “Rotary Electric
Extrusion Garbage Collector E-SVN” from September thisyear.
Developed with the concept “Safer and easier to use. Urbanfriendly!” the E-SVN is a rotary electric extrusion garbage
collector that is a showcase of technology from Morita
Econos. It was designed based on feedback received from
customers using it for actual garbage collection work, as wellas the needs of the local community and environment.
The use of a hybrid platform means there are no exhaust gas
emissions, which make it ideal for work in areas not suited toexhaust gases, such as garbage collection in bacement areas.
The sound level has been reduced to 67.7 dB as part of acommunity-friendly design when operating early in themorning or at night.
As a hybrid garbage collector, the E-SVN features the largest
body capacity (4.8 m 3 ) in its class and to assist withimprovements to work efficiency. Operation can be switchedbetween the electric motor and engine easily using a control
panel within the cabin, making it an environmentally friendly
garbage collector that provides outstanding safety andoperability. Morita Econos will continue in its pursuit of“Safer and easier to use. Urban-friendly!”

Rotary Electric Extrusion Garbage Collector E-SVN
M O R I TA R E P O R T 2 0 1 502

New model lumbar support wear
“rakunie” goes on sale
Morita has developed a new model of the lumbar support wear
“rakunie” that has been sold since 2012. Sales starts from
December this year.
Lumbar support wear “rakunie” was first marketed as a new
type of support wear that works to support the lumbar area
during deep flexing movement but does not interfere withnormal daily movement. Since it was first released, “rakunie”
has been admired by countless users involved in work that
subjects heavy strains on their lumbar area.
Development of the newly announced “rakunie” model
included trials conducted with the cooperation of many
participants in fields such as agricultural, nursing, logistics andmaintenance to make the product range more applicable to awide range of industries. While the new model provides thesame reliable level of support, a function was added as a resultof these trials to easily release
support power when driving
vehicles or resting by simply
unclipping the buckle, which
improves usability evenfurther. The new model also
features a unisex design and isavailable in a greater size
range (XS to L) for use bypeople with a wider range ofbody types and frames.
The entire Morita Group will
New model “rakunie”
continue making contributions
to a safer, more comfortable
and more affluent society
through its efforts at building
an environment that is more
pleasant to work in.
Release support power when notneeded03

M O R I TA R E P O R T 2 0 1 5

Top Message
We would first like to extend our deep appreciation for yourcontinued support for the Morita Group.
For our 83rd term interim report, we would like to provide youwith a business overview report.

Business Overview
During the first half of FY2015, Japan’s economy has seen
improvement in corporate performance and capital investment
due to the economic and financial policies implemented by thegovernment and the Bank of Japan. The economy is showing
signs of slow recovery, but with concerns about sluggish
economic performance overseas especially in China, it still
remains in a state of future uncertainty.
In such an environment, the Morita Group has endeavored to
implement proactive business development and further cost
reduction while also developing new products.
Business performance for the first half of FY2015 resulted inas follows.
Net sales decreased by ¥1,501 million compared to the sameperiod in the previous year to ¥21,899 million (-6.4%);
operating income increased by ¥479 million compared to thesame period in the previous year to ¥1,486 million (+47.7%);
and ordinary profit increased by ¥652 million compared to thesame period in the previous year to ¥1,833 million (+55.3%).
The net income attributable to owners of parent increased by¥130 million compared to the same period in the previous yearto ¥922 million (+16.5%) with this ordinary profit, despite
recording an extraordinary loss of ¥413 million due to the saleof shares of an affiliated company (excluded from the equitymethod).
The business performance by segment across the Morita
Group is as follows. Net sales for the Fire Fighting Vehicles
Business was ¥7,719 million (-12.4% over the same period in
the previous year) due to the transfer of all equity of a Chinese
joint venture company that had been a consolidated company
until the same period in the previous year. Net sales for theFire Protection Equipments & Systems Business was ¥7,804
million (+0.9% over the same period in the previous year) due
to steady sales of fire extinguishers and “SPRINEX,” theM O R I TA R E P O R T 2 0 1 504

packaged automatic fire extinguishing equipment. Net sales
for the Recycling Machines Business was ¥1,678 million(-30.9% over the same period in the previous year) due toconcentration of product deliveries in the second half of theyear, despite steady growth in orders. Net sales for theEnvironmental Conservation Vehicles Business was ¥4,696million (+6.2% over the same period in the previous year) due
to an increase in the shipment of sanitation vehicles and thesales of parts.

Future Outlook
Business performance for the first half of FY2015 remained
strong for the entire Morita Group, and full year results aremainly expected to stay positive as the group is on track tosecuring the number of orders that were initially planned.
While conditions are likely to remain unpredictable from thefollowing year and on, we will continue our efforts for sales
activities and reducing costs, while also developing new
products and technologies, making further improvement ofquality and securing profits for the group.
In conclusion, we would like to take this opportunity to ask
our shareholders for continued support and encouragement.
November 2015

Kazumi Ogata
President

05

M O R I TA R E P O R T 2 0 1 5

Consolidated Summary(Figures less than 1 million
yen are rounded down tothe nearest 1 million yen.)

Consolidated Balance Sheets

Morita Holdings Corporation and Consolidated Subsidiaries
Millions of yen

FY2014First half

FY2015First half

FY2014
Full year

AssetsCurrent assets
Property, plant and equipment
Intangible assets
Investments and other assets
Total assets¥ 35,359 ¥ 36,461 ¥ 41,883
30,916

28,626

320

606

30,132521

13,685

14,82016,001¥ 80,281 ¥ 80,515 ¥ 88,539

Liabilities
Current liabilities¥ 24,281 ¥ 20,635 ¥ 27,796

Long-term liabilities

10,687

10,705

11,169Total liabilities

34,96831,34038,966

Common stock

4,746

4,746

4,746

Additional paid-in capital

4,331

4,331

4,331

Retained earnings

35,04839,36038,810Net assets
Shareholders’ equity(242)(1,492)(1,212)

43,883

46,94546,675

2,986

3,142

3,868

(8)

(3)

(1)

Unrealized gains (losses) on revaluation of land

(1,804)(1,980)(1,980)Foreign currency translation adjustments

172

529

508

Remeasurements of defined benefit plans

(429)

(38)

(74)

Total accumulated other comprehensive income

915

1,649

2,319

Treasury stock, at cost
Total shareholders’ equity
Accumulated other comprehensive income
Unrealized gains on available-for-sale securities
Deferred gains on hedges

Non-controlling interests in consolidated subsidiaries
Total net assets
Total liabilities and net assets

512580577

45,312

49,17449,572¥ 80,281 ¥ 80,515 ¥ 88,539

M O R I TA R E P O R T 2 0 1 506

Consolidated Statements of Income

Morita Holdings Corporation and Consolidated Subsidiaries
Millions of yen

FY2014First half

Net sales

FY2015First half

FY2014
Full year¥ 23,400 ¥ 21,899 ¥ 71,943

Cost of sales
Gross profit

17,0886,311

15,5346,365

53,12818,814

Selling, general and administrative expenses
Operating income
Other income
Other expenses
Income before income taxes
Income taxes
Current
Deferred

5,305
1,006
318
171
1,153

4,878
1,486
441
475
1,452

10,5748,240
693
1,2097,723

547(83)464

563(42)521

3,475(425)3,049

Net income
Net income (loss) attributable to non-controlling interests
Net income attributable to owners of parent689(102)¥ 7929318¥ 922

4,674(35)¥ 4,709

Consolidated Statements of Cash Flows

Morita Holdings Corporation and Consolidated Subsidiaries
Millions of yen07

FY2014First half

FY2015First half

FY2014
Full year

Cash flows from operating activities(¥ 2,472)
Cash flows from investing activities(2,340)Cash flows from financing activities(201)
Effect of exchange rate change on cash and cash equivalents(27)
Net increase (decrease) in cash and cash equivalents(5,042)
Cash and cash equivalents at beginning of year
9,525(¥ 208)
620
(1,952)(0)(1,540)6,424¥ 4,501(3,101)(4,217)(27)(2,845)
9,525

Increase (decrease) in cash and cash equivalents
resulting from change of scope of consolidation(254)—(254)Cash and cash equivalents at end of period (year)¥ 4,227¥ 4,884¥ 6,424

M O R I TA R E P O R T 2 0 1 5

Company Profile(As of September 30, 2015)

Overview
Company Name

MORITA HOLDINGS CORPORATION

Inauguration of Business
Establishment
CapitalApril 23, 1907

July 23, 1932

¥4,746 mil.

Osaka Head Office

3-6-1 Dosho-machi, Chuo-ku, Osaka-shi, Osaka

Tokyo Head Office

3-25-31 Nishishinbashi, Minato-ku, Tokyo

Type of BusinessControl/management of business activities
of group companies, and being entrustedwith indirect management operations

Group Companies
MORITA
CORPORATION

1-5 Techno Park, Sanda-shi, Hyogo, 669-1339, Japan

MORITAMIYATA
CORPORATION

1-1-1 Shimomachiya, Chigasaki-shi, Kanagawa,
253-8588, Japan

MORITAENVIRONMENTALTECHCORPORATION

1530 Konoda-cho, Funabashi-shi, Chiba,274-0081, Japan

MORITAECONOSCORPORATION

1-48 Jinmu-cho, Yao-shi, Osaka, 581-0067, Japan

MORITATECHNOSCORPORATION

32 Techno Park, Sanda-shi, Hyogo, 669-1339,
Japan
Aftercare service and maintenance of fire trucks and ofDevelopment, manufacturing and sales of ladder trucks, firetrucks and other types of fire trucks and specialty vehicles

Development, manufacturing and sales of fire
extinguishing-related equipment, mainly of fire
extinguishers, firefighting equipment and other fireprotection equipment

Design and construction of waste recycling facilities andother waste disposal facilities. Development,manufacturing and sales of large hydraulic equipment
Development, manufacturing and sales of environmental
conservation vehicles such as sanitation vehicles andgarbage trucks

equipment and materials for lifesaving. Development,
manufacturing and sales of electronic applied machineryand information processing machinery

M O R I TA R E P O R T 2 0 1 508

ALUVO
1479-1 Kamikanzo, Iwata-shi, Shizuoka,
CORPORATION
438-0115, JapanKANSAI BODY WORKS 2-3 Techno Park, Sanda-shi, Hyogo,CORPORATION
669-1339, Japan
MORITA U.G.
Shiba 256 Square Building 8F, 2-5-6
CORPORATION
Shiba, Minato-ku, Tokyo, 105-0014, Japan
MORITA ENGINEERING
1-48 Jinmu-cho, Yao-shi, Osaka
CORPORATION
581-0067, Japan
HOKKAIDO MORITA
13-2-17 Naebo-cho, Higashi-ku, SapporoCORPORATION
shi, Hokkaido, 065-0043, JapanKAGOSHIMA MORITA
12-32, Matsubara-cho, Kagoshima-shi,
PUMP CORPORATION
Kagoshima, 892-0833, Japan
MORITA TOYO
1700-2 Konjinzuka, Sanagu-cho, Iga-shi, Mie,CORPORATION
518-0001, JapanMIYATA CYCLE
Sumitomo Life Insurance Kawasaki Building
CO. LTD.
8F, 11-27 Higashida-cho, Kawasaki-ku,
Kawasaki-shi, Kanagawa, 210-0005, Japan
NANJING CHENGUANG MORITA No. 188 Tianyuanzhong Road, Jiangning
Economic & Technical Development Zone,
ENVIRONMENT PROTECTIONSCIENCE & TECHNOLOGY CO., LTD Nanjing, China, 211100

SICHUAN MORITA FIRE
SAFETY APPLIANCESLIMITED COMPANY
MORITA HOLDRICH (HONG
KONG) COMPANY LIMITED09

M O R I TA R E P O R T 2 0 1 5

No. 8, Xinhua Avenue, Chengdu CrossStraits Technological Industry Park,Wenjiang District, China, 611130
Level 12, 28 Hennessy Road, Wanchai, HongKong

Shareholder’s MemoInformation about the StockBusiness YearApril 1st to March 31st

Annual General Meeting of Shareholders
Reference Dates

June

Annual General Meeting of Shareholders - March 31stYear-end Dividend - March 31st
Interim Dividend - September 30th
Other dates published in advance as necessary

Method of Public Notice

Posted on company website
http://www.morita119.com/kohkoku/index.html
Administrator of the Shareholders List
Sumitomo Mitsui Trust Bank, Limited
1-4-1, Marunouchi, Chiyoda-ku, Tokyo

Place of Clerical Office for the above
Stock Transfer Agency Department, Sumitomo Mitsui Trust Bank, Limited
4-5-33, Kitahama, Chuo-ku, Osaka-shi, Osaka(Postal Address)

Stock Transfer Agency Department, Sumitomo Mitsui Trust Bank, Limited
2-8-4 Izumi, Suginami-ku, Tokyo, 168-0063(Telephone Inquiries)+81-120-782-031(Internet Website URL)

http://www.smtb.jp/personal/agency/index.html
Stock Listing

Tokyo Stock Exchange

Number of Shares per Unit

100 shares[Special Account]
For shareholders who did not use JASDEC (Japan Securities Depository
Center, Inc.) before the share certificates were computerized, an account (aspecial account) has been opened with Sumitomo Mitsui Trust Bank,Limited, the administrator of the shareholders list. For details regarding thespecial account, notification of address change, and so on, please contact
the telephone inquiry number listed above.

[Notification of Address Change and Inquiries]
For shareholders who have an account at a securities firm, please contact
the firm where your account was established for notification of addresschange and so on. For shareholders who do not have an account at asecurities firm, please contact the telephone inquiry number listed above.

M O R I TA R E P O R T 2 0 1 510

Please visit our website
for the latest investor relations information.

http://www.morita119.com

Online Storefor MORITA Original Goods“MORITA NETSHOP”
http://morita119-netshop.com/

Osaka Head Office
3-6-1 Dosho-machi, Chuo-ku, Osaka-shi, Osaka, 541-0045, Tel. +81-6-6208-1907
Tokyo Head Office
3-25-31 Nishishinbashi, Minato-ku, Tokyo, 105-0003, Tel. +81-3-5777-5777

http://www.morita119.com